Use the AS/AD model to describe the effect of each of the following events on the economy of Snezhanka (a fictitious nation). Beginning with the economy in equilibrium carefully show the shift involved and the new equilibrium. State whether the P (price level) and RGDP at the new equilibrium are higher or lower. For each part of this question, start again at the original equilibrium. What will happen if: a. Taxes on households are decreased?
b. Taxes paid by firms are decreased?
c. The value of the national currency, the Snezhankan lev, declines in the international currency market?
d. A revolutionary new machine, the aparat, increases worker productivity?

Acompany determined that the budgeted cost of producing a product is $30 per unit. on june 1, there were 80,000 units on hand, the sales department budgeted sales of 300,000 units in june, and the company desires to have 120,000 units on hand on june 30. the budgeted cost of goods sold for june would be

Abusiness cycle reflects in economic activity, particularly real gdp. the stages of a business cycle

In the fall, jay thompson decided to live in a university dormitory. he signed a dorm contract under which he was obligated to pay the room rent for the full college year. one clause stated that if he moved out during the year, he could sell his dorm contract to another student who would move into the dormitory as his replacement. the dorm cost was $5000 for the two semesters, which jay had already paid a month after he moved into the dorm, he decided he would prefer to live in an apartment. that week, after some searching for a replacement to fulfill his dorm contract, jay had two offers. one student offered to move in immediately and to pay jay $300 per month for the eight remaining months of the school year. a second student offered to move in the second semester and pay $2500 to jay. jay estimates his food cost per month is $500 if he lives in the dorm and $450 if he lives in an apartment with three other students. his share of the apartment rent and utilities will be $404 per month. assume each semester is 4.5 months long. disregard the small differences in the timing of the disbursements or receipts. what is the cost of the cheapest alternative?